Executive Search Firms In China – Offering The Most Beneficial Recruitment Advice To Their Clients
China, being one of the biggest emerging markets across the globe has been attracting business organization from all parts of the world to set up operations here. This naturally requires the companies to hire some local talent, either through their own HR departments or with the help of one of the top 10 executive search firms in China. The problem with the former approach is that the companies have to first acquaint themselves with the local recruitment laws which can be a complex and time consuming process. Hence, it is not surprising that most overseas companies opt for the easier method of hiring the services of recruitment firms operating in the country. Most foreign entrepreneurs are unaware of the fact that they are not eligible to engage any local staff in China unless they intend to set a
completely foreign owned enterprise or a joint venture. Even then it is important for the recruiting companies to follow the provisions of the Chinese Labor Law. This is when hiring locally operating executive search firms in China proves beneficial for the companies. These firms are well aware of the various provisions of the Labour Law and hence are able to provide proper guidance and advice to their clients regarding the recruitment of the most suitable candidates. This safeguards the companies from the legal ramifications of involuntarily breaking any postulates of the Labor Law. When it comes to hiring local talent, the primary focus of the executive search firms in China, should be educating their clients about the postulates related to recruiting the candidates and terminating their services. It is important for any organization to have a written contract with every single member of their staff. Companies failing to follow this rule are required to pay heavy penalties, which can amount to double the compensation if the contract is still not drawn at the end of the first month of employment. In case the companies fail to have a written contract with the staff even after a period of one year, then the employees automatically move on to open end contract beside getting the benefit of double compensation. This essentially means that it becomes quite difficult for the company to terminate the services of the employees as they need to higher amounts in forms of severance pay as well as additional fines. Terminating the services of an employee all of a sudden, even in the presence of a contract is often quite difficult in China as the employers need to provide an extremely good reason for the same. While summarily dismissal of employees is possible, the company needs to prove that the employee in question has committed an act of gross misconduct or a criminal act. The company is even required to keep a record of such cats of crime or misconduct. There are also special circumstances under which the company cannot terminate an employee unless they are proven guilty of the above without any doubt. This rule is applicable to female employees who are either pregnant or are on maternity leave and even employees who are suffering from any kind of work related injuries.